The dollar turned lower, dropping well away from an earlier two-month high against a basket of currencies, after U.S. jobs numbers came in much weaker than forecast.

But the dollar was stopped in its tracks on Friday when new jobs data indicated a sharp slowdown in the US labour market. The dollar index fell 1.3 per cent on the day. It marked a revival of concerns that had dealt the greenback its weakest start to a year since 1973,